From the Virginia Mercury
After a U.S. District Court in Kentucky suspended the federal government’s enforcement of race- and gender-based preferences in transportation contracts pending trial, the U.S. Department of Transportation responded by removing women- and minority-owned business set-asides through an interim final rule. This has significantly impacted businesses in Virginia and across the nation.
Amid these regulatory changes, some business owners continue to navigate economic complications and face stigma associated with being women- or minority-owned.
“Most DBEs (Disadvantaged Business Enterprises) will tell you in a heartbeat: all we need is the opportunity… we’re good at what we do,” said Joanne Payne, a federal lobbyist and president of Women First, an advocacy group representing women-owned small businesses in the highway, transit and airport construction industries.
“The DBE program isn’t a handout, it’s a hand up — ensuring small business owners, especially women and minorities, get a fair chance to compete and thrive.”
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In the meantime, business leaders are supporting DBEs by providing resources and urging federal lawmakers to reauthorize the program while preparing for the trial hearing.
“I tell people, ‘Congress can help us,’” Payne, the Women first president, said. “Congress has the authority to authorize this program, and they also have the authority to tell DOT how to administer this program, and that’s what we’re focusing on.”
Advocates, including DBEs of America, which represents almost 50,000 certified DBEs nationwide, are also hosting informational meetings, helping their members with recertification and urging Congress to get involved, including reauthorizing the program by Sept. 30, 2026, when it is set to expire and set off a gap in funding and legal authority.
The groups all stress that reauthorizing the DBE program ensures continued support and fair access for small, minority- and women-owned businesses in federal transportation projects. Its continuation would also prevent monopolies, foster economic opportunity and ensure that public dollars benefit diverse communities nationwide, advocates say.
Stephanie Duncan, director and president of DBEs for America, said failure to reauthorize the program could put business owners in jeopardy.
“It’s just going to shut out small businesses…become a monopoly and the prices are going to go up because there won’t be any competition,” Duncan said. “Small businesses are the backbone of this country, and the dollars that we put into a big construction project stay in our community.”